City mulls fee to help build waterfront

Developers building anywhere in Toronto may have to foot some of the cost of transforming the derelict Port Lands into a vibrant community, city officials said on Tuesday.

The municipal government is contemplating city-wide development charges, along with area-specific fees, as part of its accelerated redevelopment plan for 880 acres of prime waterfront real estate that is underused now.

The new approach envisions developing about one-third of the Port Lands, in stages, over 30 years, all north of the shipping channel, at Cousins Quay, Polsons Quay and the Film Studios.

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A report before Mayor Rob Ford’s executive committee next week says infrastructure and flood protection will cost about $1.2-billion over the three decade time frame. Add to that about $200-million in transit linking it to the rest of the city, and another $500-million in local infrastructure usually paid by developers, and part of an improved Port Lands comes with a $1.9-billion price tag.

The city says it can raise a large chunk of cash by selling off land and through local development charges, but there is still a sizeable gap, as much as $190-million in present-day values.

City-wide development charges could go up by as much as 5% in an effort to bridge some of that gap, officials said.

“I don’t think people are surprised by the concept,” said John Livey, a deputy city manager.

“I think they understand that is going to be necessary because there is not an amount of extra dollars out there from government financing that is going to solve this problem.”

He said Torontonians may start to see development on the Port Lands in as little as two to four years.

The Building Industry and Land Development Association declined to comment on the development charges, which would require council approval; a handful of developers either refrained from voicing their opinions, or did not return calls.

“We are very happy with the design that will go to executive. We feel we have an even better plan than the original one,” said John Campbell, CEO of Waterfront Toronto, which is overseeing waterfront revitalization.

Councillor Paula Fletcher called it a much needed “reality check” on what can actually happen on the Port Lands.

“Without this year-long acceleration, without everybody focused… we wouldn’t be in the position today to say we think we have the hard numbers and know how to start this,” she said.

But Councillor Doug Ford, who had tried to spark redevelopment with a short-lived pitch for a Ferris Wheel and mega mall on the waterfront, says things are still moving too slowly, even if he is resigned to it.

“Many years down the road hopefully the history books will say if it wasn’t for Doug Ford sticking his neck out, the Port Lands would still be sitting here as a dump site.”